You're kidding right, chimpboy? Less than 250 million shares at a Buck and change would add debt? That was a joke, right?
Looks like you have melted down for this day. Better gets some rest. Drink plenty of water. Come back tomorrow with some original material. When I start buying again, I need you fresh and on your toes.
Good point. At $5, CLWR is a $2.2B enterprise. Assuming just the spectrum is worth twice that, Hesse would be a fool not to make that sort of a deal. That assertion calls for a little math.
VZN paid $3.9B for Comcast's 20 MHz of spectrum. Clearwire has 160MHz, or 8x that number. That means CLWR is worth $31B in spectrum alone. Discount that as aggressively as you like, but you will never reasonably hit $2.2B.
BTW - in his defense, there are bondholders. How they would get treated, I can only guess that their bonds would not change, but Sprint may want to liquidate the bondholders, and that might take some cash. I'll leave the math on that to someone else.
How much cash gets consumed in any deal is a term of the deal. Sprint doesn't need to part with ANY cash to acquire CLWR, but they would acquire an asset in high-frequency spectrum, another big asset in a mostly-compatible network, a lot of paying customers and a team with a lot of know-how. How they value these components will speak to how much they're willing to pay, but I doubt it would reduce their cash at all. Even an all stock deal, well negotiated, could be accretive for shareholders.